Direct-to-consumer online sales increased to 10% of total revenue,
compared to 1% in the same quarter last year, with Energize and select
iSatori products achieving the strongest unit movement.

Gross profit improved 32.7% to $2.5 million.

Gross margin increased to 43.2% compared to 41.5% in the same quarter
last year.

Operating expense declined 21.0% to $1.3 million.

Net income improved to $1.2 million compared to $0.2 million in the
same quarter last year.

EPS increased to $1.07 per share, or $0.94 per diluted share, compared
to $0.20 per share in the same quarter last year

For the first quarter ended March 31, 2019, total revenue was $5.9
million versus $4.6 million in the same quarter last year, an increase
of 27.4%. The increase was primarily attributable to increased wholesale
purchases from our retail partners coupled with a significant increase
in online direct-to-consumer sales. During the first quarter of 2019,
online sales accounted for approximately 10% of the Company’s revenue,
compared to 1% during the first quarter of 2018.

Gross profit improved to $2.5 million, an increase of 32.7% from the
first quarter of 2018. Gross margin improved from 41.5% to 43.2% over
the same time period. The improvement in gross margin was driven by
higher total sales volume, reduced returns, and the increase in online
revenue, which delivers a substantially higher gross margin for the
Company.

Net income for the first quarter of 2019 was $1.2 million, which
represents the largest quarterly profit the company has ever achieved.
The Company delivered basic earnings per share of $1.07—or $0.94 per
diluted share—in the quarter, compared to $0.20 per share in the same
quarter last year.

As previously announced, subsequent to the end of the first quarter of
2019, the Company implemented a 1-for-8,000 reverse stock split, which
was followed immediately thereafter by an 800-for-1 forward stock split
(the “Reverse/Forward Split”). As a result of the Reverse/Forward Split,
holders of fewer than 8,000 pre-split shares of the Company’s common
stock received cash in lieu of fractional shares at a value of $0.57 per
pre-split share. The Reverse/Forward Split resulted in the repurchase of
fractional shares equivalent to 992,659 pre-split shares, or
approximately 8.9% of our shares of common stock outstanding prior to
the Reverse/Forward Split. Following the Reverse/Forward Split, there
are 1,014,740 shares of the Company’s common stock outstanding.

Dayton Judd, the Company’s Chairman and CEO, commented, “I am pleased
with the Company’s performance during the first quarter of 2019. Our
team has improved the performance of almost all of our brands, and our
efforts to diversify into online revenue sources are off to a good
start. The combination of stronger top-line performance, expanding
margins due to online sales, and lower operating costs resulted in a
record quarter for the Company.”

Mr. Judd continued, “Our online strategy varies by brand. For our
GNC-exclusive brands, our focus is on eliminating unauthorized online
resellers in order to protect our GNC franchise partners. For our other
brands, we are pricing our products competitively to drive revenue and
unit growth. Given this strategy, our top-selling products online
include Energize as well as some of our iSatori products. Going forward,
we intend to continue executing our strategy. With our improved
performance and stronger balance sheet, we also intend to invest more
money into marketing in an effort to continue to drive profitable
top-line growth for all of our brands.”

About FitLife Brands

FitLife Brands is a developer and marketer of innovative and proprietary
nutritional supplements for health-conscious consumers. FitLife markets
over 80 different dietary supplements to promote sports nutrition,
improved performance, weight loss and general health primarily through
domestic and international GNC® franchise locations as well
as through more than 25,000 additional domestic retail locations and,
increasingly, online. FitLife is headquartered in Omaha, Nebraska. For
more information please visit our new website at www.fitlifebrands.com.

Forward-Looking StatementsStatements in this release that
are forward looking involve known and unknown risks and uncertainties,
which may cause the Company’s actual results in future periods to be
materially different from any future performance that may be suggested
in this news release. Such factors may include, but are not limited to,
the ability to of the Company to continue to grow revenue, and the
Company’s ability to continue to achieve positive cash flow given the
Company’s existing and anticipated operating and other costs. Many of
these risks and uncertainties are beyond the Company’s control.
Reference is made to the discussion of risk factors detailed in the
Company’s filings with the Securities and Exchange Commission including
its reports on Form 10-K and 10-Q. Readers are cautioned not to place
undue reliance on these forward-looking statements, which speak only as
of the dates on which they are made.

FITLIFE BRANDS, INC.

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS

FOR THE THREE MONTHS ENDED MARCH 31, 2019 AND 2018

Three Months Ended

March 31

(Unaudited)

2019

2018

Revenue

$

5,878,000

$

4,614,000

Cost of Goods Sold

3,337,000

2,699,000

Gross Profit

2,541,000

1,915,000

OPERATING EXPENSES:

General and administrative

774,000

870,000

Selling and marketing

550,000

806,000

Depreciation and amortization

15,000

19,000

Total operating expenses

1,339,000

1,695,000

OPERATING INCOME

1,202,000

220,000

OTHER INCOME (EXPENSES)

Interest expense

15,000

3,000

Other

–

(1,000

)

Total other expense

15,000

2,000

NET INCOME

$

1,187,000

$

218,000

NET INCOME PER SHARE

Basic

$

1.07

$

0.20

Diluted

$

0.94

$

0.20

Basic weighted average common shares

1,111,943

1,072,671

Diluted weighted average common shares

1,268,526

1,072,671

The accompanying notes are an integral part of these condensed
consolidated financial statements